Oklahoma lawmaker questions executive salary increases as state pay study finds workers far below market

Executive pay decisions draw scrutiny amid broader state workforce pay gap

An Oklahoma House member is challenging pay decisions affecting top officials in Gov. Kevin Stitt’s administration after state records showed large salary increases for a group of agency executives during fiscal year 2025, while a separate state analysis found rank-and-file employee pay significantly behind comparable jobs in the broader labor market.

The debate centers on an executive compensation report prepared for fiscal year 2025 that identified 18 agency chief executive officers who received pay increases of 10% or more. The report also documented salaries and raises for individual leaders that have become focal points in the discussion.

Commerce agency’s new CEO role and salary

One of the most prominent examples involved the Oklahoma Department of Commerce, where John Budd III was hired into a newly created role running the agency with a salary of $300,000. The compensation level was listed as more than double the salary of the agency’s prior leader, which the report placed at $141,000.

State officials said the governor’s office negotiated the compensation package. Commerce agency leadership described Budd as the first chief executive officer under an agency restructuring enacted in state law, and said the law directs that the position be compensated in a way intended to align with similar private-sector roles.

Agriculture secretary’s raise highlighted in report

The fiscal year 2025 executive pay figures also showed a significant increase for Blayne Arthur, who leads the Oklahoma Department of Agriculture, Food and Forestry and serves as the state’s secretary of agriculture. The report recorded a nearly 40% pay increase for Arthur in fiscal year 2025, following a separate increase the year before. Her salary was listed at $223,750.

A spokesperson for the agriculture department said Arthur’s compensation falls within the state’s established pay structure.

OMES pay study: broader workforce lags the market

The executive pay debate has unfolded alongside an Office of Management and Enterprise Services (OMES) analysis focused on state employees more broadly. That study found state employee pay to be 48.05% below market, and it said many state workers have not received a general pay increase since 2019.

In response to questions about senior compensation levels, the governor’s office emphasized the value of private-sector experience within state government but did not provide a direct judgment on whether individual salaries were excessive.

Key figures referenced in fiscal year 2025 executive compensation discussions

• $300,000 salary listed for the Oklahoma Department of Commerce chief executive officer position.
• $141,000 listed as the prior leader’s salary at the commerce agency, before the new CEO role.
• $223,750 salary listed for the agriculture secretary, following a nearly 40% fiscal year 2025 increase.
• 48.05% below-market estimate for overall state employee pay in OMES’ workforce analysis.

The dispute highlights a recurring tension in public-sector staffing: how to set competitive compensation for senior leadership while addressing pay levels and retention challenges throughout the broader state workforce.

As the Legislature considers compensation-related proposals and agencies continue to recruit leadership, executive pay decisions are likely to remain a flashpoint in debates over budgeting, workforce stability, and public accountability.